Aggregation

AAA

DEFINITION of 'Aggregation'

1. Used in corporate financial planning, aggregation is a process whereby a number of a firm's smaller projects are combined and treated as an individual project.

2. Used in futures markets, aggregation is a principal involving the combination of all future positions owned or controlled by a single trader or group of traders.

INVESTOPEDIA EXPLAINS 'Aggregation'

1. This is a time saving accounting method for larger corporations. It helps consolidate resources and identify project costs efficiently.

2.The main purpose of aggregation is to ensure accurate reporting and compliance with regulations regarding the permitted levels of speculative limits for a single commodity.

RELATED TERMS
  1. Social Choice Theory

    Individual preferences are aggregated to produce a social welfare ...
  2. Actuals

    The physical commodity that underlies a futures contract or is ...
  3. Futures Contract

    A contractual agreement, generally made on the trading floor ...
  4. Pooling Of Interests

    A method of accounting that allows the balance sheets of two ...
  5. Project Finance

    Defined by the International Project Finance Association (IPFA) ...
  6. Finance Charge

    A fee charged for the use of credit or the extension of existing ...
Related Articles
  1. Trading Strategies

    What do the numbers that follow the ...

  2. Fundamental Analysis

    What are some examples of how cash flows ...

  3. Fundamental Analysis

    What is the difference between cash ...

  4. Taxes

    What's the difference between cost of ...

Hot Definitions
  1. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  2. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  3. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  4. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  5. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  6. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
Trading Center